Geothermal energy experienced substantial momentum in 2024, fueled by milestones in funding, project development, and rising demand for carbon-free, around-the-clock electricity. This coincided with soaring electricity demand in the U.S., driven by the rapid expansion of AI data centers, EVs, and electrified industries.
Tech giants like Google and Meta, along with major utilities, have voiced their commitment to purchasing geothermal electricity to support their growing energy needs. Meanwhile, U.S. policymakers introduced legislation aimed at easing regulatory barriers for exploratory drilling on federal lands, as geothermal has garnered bipartisan support.
According to the U.S. Department of Energy (DOE), geothermal could provide up to 90 GW of baseload power by 2050, complementing intermittent renewable sources like wind and solar. Globally, the International Energy Agency (IEA) projects that next-generation geothermal could scale to 800 GW by mid-century—50 times current capacity.
In 2024, Eavor made “terrific progress” on its first commercial project in Germany, reaching nearly 2.8 miles below the surface, connecting around 200 miles of wellbores, with the first loop anticipated to begin operations in 2025.
“We’re learning and iterating as we go, and there are some speed bumps; things go wrong, tools break,” said Jeanine Vany, Eavor’s executive vice president of corporate affairs.
“But we’ve done all of the things we need to do to demonstrate the commercial viability.”
The challenges that remain include high exploration costs, delays in permitting, and a strained transmission grid that continues to impede progress. For venture-backed startups, accessing private and public financing remains difficult, slowing the deployment of first-of-a-kind projects. Yet, with power demand forecasted to grow fivefold in five years, geothermal’s role in the energy transition has never been more critical.
